Professor de Meza draws attention to recent literature which indicates that, in the context of widespread behavioural biases, two modes of financial capability work appear to be the most promising. These are the use of 'norms', which means directing people to a particular action such as higher saving, and the use of active intervention by a councillor and/or individualised advice, rather than passive information or education. The FSA and government's Money Guidance Pathfinder programme will include individualised advice both face to face and over the phone, and evaluation of this programme will provide useful new evidence.
